African Markets – Factors to watch on May 3
Thu May 3, 2012 1:53am EDT
The following company announcements, scheduled economic indicators, debt and currency market
moves and political events may affect African markets on Thursday.
- – - – -
KENYA – The central bank meets to set its lending
rate. It has left it unchanged at 18 percent since
December, although analysts say easing is imminent
after inflation moderated.
* The central bank of Kenya will also auction 2
billion shillings in 91-day Treasury bills.
ZAMBIA – Bank of Zambia auctions 45,000 kwacha
worth of 91-day T-bills, 50,000 kwacha in 182-day
T-bills, 55,000 kwacha in 273-day T-bills and
100,000 worth of 364-day T-bills.
MAURITIUS – Bank of Mauritius auctions 273-day
Treasury bills worth 400 million rupees.
SENEGAL – Heads of state from regional bloc
ECOWAS meet to discuss a coup in Guinea-Bissau,
and a counter-coup/transition in Mali.
RWANDA – President Paul Kagame scheduled to hold a
press conference in the morning hours.
Asian shares slipped on Thursday and the euro
languished near a 2-week low after disappointing
economic data from both sides of the Atlantic
rekindled concerns about the strength of global
WORLD OIL PRICES
Brent crude steadied above $118 a barrel on
Thursday, reflecting caution among investors ahead
of a key U.S. employment report after dismal data
from the United States to Europe renewed doubts
about the state of the global economy.
For the top emerging markets news, double click on
For the latest news on African stocks, click on
AFRICA FIXED INCOME
For news on African fixed income, click on
SOUTH AFRICA CURRENCY, BONDS
South African government bonds rallied and yields
fell on strong demand from foreign accounts but
the rand weakened against the dollar, tracking a
softer euro as data pointed to weak growth in that
SOUTH AFRICA SHARES
South Africa’s broad All-share index closed at a
record high, as improving Chinese manufacturing
data boosted appetite for Johannesburg-listed
resource firms such as BHP Billiton .
The Nigerian naira was stable on both the
interbank market and at the official window as
sales of about $194 million by two multinational
oil companies to some lenders helped counter
surging demand for dollars among importers.
NIGERIA TREASURY BILLS
Nigeria plans to issue 145.05 billion naira
($922.12 million) in treasury bills ranging from
3-month to 1-year maturities at its regular
monthly debt auction next week, the central bank
Islamist group Boko Haram released a video late on
Tuesday celebrating its bombing of a Nigerian
newspaper and warning of more attacks on local and
foreign media if they published reports that were
biased to the sect or insulting to Islam.
The Kenyan shilling slipped against the
dollar as some investors bet on
a possible interest rate cut after a fall in
inflation in April, while the benchmark share
index edged down.
KENYA TREASURY BILLS
The average yield on Kenyan 182-day Treasury bills
plunged nearly two percentage points at
auction in a heavily oversubscribed sale after
inflation slowed by more than expected in April.
The Kenyan government must share revenues from its
newfound oil reserves with the communities in its
impoverished north to avoid armed insurrections,
the minister for the region said.
Kenyans abroad sent home $106.2 million in March,
the highest monthly amount since the central bank
started releasing data on the flows in 2006, and
48 percent up from the same month last year.
For the average Kenyan, buying government debt
could soon be as simple as paying for groceries at
the supermarket: that is, with the tap of a few
buttons on their mobile phone.
Uganda’s central bank held interest rates
at 21 percent and put off any
immediate easing, citing jumps in food prices, but
promised it would make a fresh attempt to cut
borrowing costs later in 2012.
Ghana’s government expects the local cedi currency
to stabilise by mid-May as its latest measures,
including the re-introduction of short-term bills,
kick-in, Finance Minister Kwabena Duffuor told
SOUTH SUDAN-SUDAN CONFLICT
The U.N. Security Council threatened Sudan and
South Sudan with sanctions if the former civil war
foes fail to halt an escalating conflict and
resume talks within two weeks on a string of
disputes over oil revenues and border demarcation.
* Sudan said the Heglig oilfield, scene of intense
fighting with South Sudan last month, has been
repaired and has started pumping the oil that is
the lifeblood of the north’s economy.
Gunfire rang out in Mali’s capital Bamako in the
third day of clashes between the military junta
and soldiers loyal to the ousted president,
forcing residents to flee.